Domino’s on track to meet guidance

ASX-listed pizza chain Domino’s announced yesterday at its Annual General Meeting that group same store sales are in line with expectations and the company re-affirmed its Full Year 2010 guidance of profit growth between 10% – 15%.

Domino’s Chief Executive Officer Don Meij said both the European and the Australian and New Zealand markets were experiencing strong momentum.

“We have experienced strong earnings during the first four months of the 2009/2010 Financial Year in line with expectations and our Full Year guidance,” Mr Meij reported. “In Australia, our Victorian market continues to have the strongest same store sales growth out of any major market. While over in Europe, new store openings continue to exceed management’s expectations in terms of sales for these new stores.”

“We are very focused on adding scale in Europe through increasing our store count and growing the Average Weekly Unit Sales.”

Mr Meij said the company was on track with its forecast of opening 40 – 50 new stores to the group by June 2010.

Future growth

The company has experimented with new technology at their businesses and this has been rewarded, according to Mr Meij.

“We are very committed to driving sales and efficiencies in the business through technology,” he said. “As of today, 24% of total sales in Australia are online and in The Netherlands 31% of their sales are through online ordering.”

Beyond expansion, future growth is likely to come by further technological improvements, an improved lunch offering and the introduction of healthier options, the company told shareholders.